By Faughn Food Processing • New Developments 0 Comments

Lactalis USA Announces $55 Million Expansion to Increase Président® Feta Cheese Production in Tulare, California to Meet Growing Demand

Lactalis USA announces a major investment in its Tulare, California facility that will allow it to significantly increase the volume of Président Feta cheese produced in the United States. This comes as feta cheese continues to grow in popularity with American consumers. The $55 million investment creates Lactalis’ largest feta production line in the United States. Lactalis USA is a subsidiary of Lactalis, the world’s largest dairy company.

This new, 38,000 square foot manufacturing line will bring additional capacity for Lactalis USA feta production in the United States at its facilities in Tulare and Belmont, Wisconsin. The project creates 20 full-time positions in Tulare along with 100 temporary or contract positions during construction. The construction timeline spans from 2023-2027, with the line becoming partially operational in May of this year. When completed in 2027, Lactalis USA will have increased its U.S. feta production capacity to address current and future customer and consumer demand.

“We are expanding to increase our cheese production capacity at our facility,” said Esteve Torrens, chief executive officer, Lactalis USA. “This investment into new jobs and expanding operations supports our local communities and demonstrates Lactalis’ long-term view for business success in the United States. This expansion helps us meet the growing demand for Président Feta cheese in the United States, which is good news for our retail customers and consumers who continue to choose Président Feta for cooking at home and creating new occasions to enjoy feta.”

The Tulare manufacturing facility is one of the most advanced of Lactalis’ 11 manufacturing facilities across the United States, incorporating the latest technologies from Lactalis Group. This new production line is outfitted based on a complete 3D ergonomic analysis to support worker well-being and safety, in addition to automated air flow control and in-line production. Lactalis USA produces a variety of products at its Tulare facility including Kraft® Parmesan, Knudsen® Cottage Cheese and Sour Cream, and Kraft sweet whey powder.

About Lactalis USA in California

Lactalis has a significant footprint in California with three locations and approximately 500 employees. The company has manufacturing facilities in Tulare and Turlock along with a corporate office in San Fernando. Lactalis manufacturers Kraft® Parmesan, Président® Feta, Knudsen® Cottage Cheese and Sour Cream, and Kraft sweet whey powder in Tulare, and specialty ethnic food and beverage products, including cheeses, yogurts, spreads and dips in Turlock under the Karoun®, Parmalat®, Gopi®, Arz®, Queso Del Valle®, Damavand® and Yanni® brands.

About Lactalis USA

Lactalis USA is committed to enriching lives by producing nutritious and great tasting dairy products. The company offers an unrivaled house of beloved dairy brands in the United States including Galbani® Italian cheeses, Président® specialty cheeses and gourmet butters, Kraft® brands in natural and grated cheeses, Breakstones® cottage cheese, ricotta and sour cream, Cracker Barrel® cheese, Black Diamond® cheddar cheese, Parmalat® milk, siggi’s® and Stonyfield Organic® yogurt brands. In the United States the company has approximately 4,000 employees, is present in eight states with 11 manufacturing facilities and corporate offices located in New York City and Buffalo, N.Y., Chicago, Ill., Bedford, N.H., and San Fernando, Calif. Lactalis USA is part of Lactalis Group, the world’s leading dairy company, a French family business founded in 1933 in Laval, France.

https://www.globenewswire.com/news-release/2024/10/29/2970995/0/en/Lactalis-USA-Announces-55-Million-Expansion-to-Increase-Pr%C3%A9sident-Feta-Cheese-Production-in-Tulare-California-to-Meet-Growing-Demand.html

By Faughn Top Stories 0 Comments

Council approves $1 sale of Old County Courthouse: Barrelhouse Brewing Company takes ownership

The Hanford City Council unanimously voted in favor of selling the Old Kings County Courthouse to Esteem Land Company LLC. for just $1 during their meeting on Tuesday night. Despite several requests from the community to table the discussion until every council seat was filled, the dais took the opportunity to rid the city of the financial responsibility of ongoing maintenance and operation.

Deputy City Manager Jason Waters briefly reviewed the building’s history and its ongoing issues, highlighting that the City is responsible for the current costs of maintenance and operation. Waters listed a slew of improvements needed throughout the building and said the revenues generated from the building’s tenants cover only the electricity. It has been estimated that the City would need $10M in private money to complete the improvements needed.

The city has searched for grant funding for historical buildings but has found opportunities few and far between. The use of funds from the General Fund to complete the wide-scope improvement project wouldn’t be feasible, and the city has considered looking into options for private partnerships.

“The most viable option that we looked at as far as partnering with a private developer is having a private developer acquire the building but have the city retaining, through an agreement, some control over how the building is developed and conditions that preserve the building and protect it and make sure that the improvements that are actually conducted are at a reasonable pace,” Waters said.

Kevin Nickell, co-owner of Esteemed Land Company, also co-owns Barrelhouse Brewing Company and Carvalho Construction, two businesses that will be key in the project. Nickell explained that through his business model, local small businesses like Hola Cafecito, Acai Bar, Divinity Clothing, and part of East Main Street in Visalia have transformed into thriving business areas.

“Businesses are going to go where they are going to make a profit. If they aren’t going to make a profit they don’t want to be there,” said Nickell. “They want an anchor. They need something that is successful, somebody that is willing to invest and take those risks in the community. We’ve been doing that and our business model seems to really be working… It’s been wildly successful. We have a great following. We have a 100% success rate in what we’ve been doing.”

Jason Carvalho, Nickell’s business partner and co-owner, said both he and Nickell are local men who were raised in the area and care about the community. He explained that together they opened their first brewery in a dilapidated building in Tin City where homelessness was high, similar to what is happening at the courthouse.

“The best deterrent for crime is activity and people,” said Carvalho. “So right now you see that at the courthouse has everything from homeless to crime to the defacing of the property. The best way to counter that is to have people and community there. The community then self-polices. People don’t want to commit crimes, people don’t want to loot and loiter when you have families around.”

Nickell said that his companies are heavily invested in Hanford and helped to build the fire and police stations, as well as many projects up and down the state. He and his team are familiar with the building processes and understand how to handle a project of the size and scope of the courthouse. It was explained that the sale price was only $1 because the developers would absorb all costs associated with the construction, renovation, and improvements to the building, as well as annual operation and maintenance costs.

“Our intention is to restore what is there, clean it up, make it viable, make it useable,” said Nickell. “We have no intentions of, nor could we do it because it is on the state’s register of historic buildings, we have no intentions to deface the building, change its structure, or anything like that. We just want that building operational, to clean it up and make it a safe building, meet the ADA requirements that are necessary, and get a place where we can bring in some small business.”

Nickell did mention that one of the goals of the project is to add a Barrelhouse Brewing on the top floor, and the second floor would be used to house other businesses. He said that their interest in beginning the project had spanned several years when they first considered the Bastille. When it was determined that buying the Bastille would not be viable, they slowly shifted view to the Old Courthouse.

Several members of the public were vocal in their thoughts on the seemingly sudden sale of the courthouse and claimed the price of $1 was a joke. 

Dave Ayers verbalized his discontent with the timing of the sale, saying it was a poor choice to put the matter on the agenda on the same night as the General Election. He said the building was beautiful and belonged to the people and questioned the city’s reasons for the low price tag.

“I have a difficult time believing that is not a gift of public funds,” said Ayers. “You cannot tell me that building is only worth $1.”

He claimed that if it was really going to take $10M to fix the building, the developers would never consider the project and said that the developers were only in it for profit. He requested the council table the item and give the community time to be better informed.

Local resident Nick Wagner said he was concerned about the council’s transparency on the matter and listed several reasons he believed the item should be tabled including the fact that one district seat is empty and that candidates on the ballot for the seat may in favor of keeping the historical building in the city’s possession. He said this it the first time a transaction for the potential sale has been on the agenda and that to vote on the sale without letting the community know is sneaky.

Onan Champi and Jim Castleman rallied behind the idea of selling the courthouse to Esteem Land Company, saying that the business’ track record speaks for itself. It was noted that it isn’t often the city gets local people willing to invest vast amounts of money into the community.

“You have a hard time finding invested business people who are real estate investors in the city of Hanford who have the knowledge, the money, the wherewithal, and a business plan to turn a building like the [Courthouse] around,” said Champi.

Nickell said either way the council wanted to vote would not quell his adoration for the city and that he would continue to invest in the community, but that if the council did not decide on the sale immediately the offer would be pulled from the table.

“To be perfectly honest and totally candid, if you guys shot this down, you’re probably not going to hurt our feelings,” said Nickell. “We’re going to walk, it’s not going to harm us a lot. We can go to other cities where we are guaranteed a lot more success. This is an enormous risk for us to take… If the city wants to bear the burden of this for sure and the community thinks it’s best in their interest, then we respectfully honor that. Not a problem at all. We can definitely be successful elsewhere, but this is our hometown and we believe in it.”

Nickell re-emphasized the amount of money that will need to be spent to improve the building, but that his team has all the key components to make the project a success.

Mayor Travis Paden thanked the developers for being willing to take the risk and said he believes Esteem Land Company and Barrelhouse Brewing Company are ideal partners, and are ready and willing to make it work.

“I think they have proven themselves time and time again with the projects done already which gives me the confidence that you are going to make this a success,” said Paden.

Paden said he is concerned about the string of recent break-ins and would hate to see the courthouse fall to further dilapidation.

Vice Mayor Mark Kairis readily agreed with Paden and affirmed the need for local people to invest in the community. Councilman Martin Devine moved for the sale’s approval, and Paden seconded the motion. With a vote of 4-0, the old Kings County Courthouse

https://hanfordsentinel.com/business/council-approves-1-sale-of-old-county-courthouse-barrelhouse-brewing-company-takes-ownership/article_12d21500-9c96-11ef-9785-7f5ca2a049dc.html

By Faughn Health/Medical • New Developments 0 Comments

Valley Children’s Unveils Plans for “The Hill”

Valley Children’s Healthcare is excited to announce plans for “The Hill,” a 220-acre vibrant development comprised of a mixed-use community, world class medical facilities and outdoor spaces, located on our 443-acre main campus, all designed to enrich the lives of patients, families, staff and the broader community. This new development will bring together healthcare, housing, retail, recreation, office space and hospitality, all located on Valley Children’s main campus.

When complete, The Hill will integrate five districts – including retail, hospitality, recreation and residential – that surround the Healthcare District, which includes Valley Children’s Hospital and River Vista Behavioral Health, along with clinical, research and administrative facilities.

“Our patients and families need more than a hospital and we need to ensure there is a sustainable financial future for Valley Children’s,” said Valley Children’s President and CEO Todd Suntrapak. “The Hill is the perfect expansion of our main campus, designed to meet the needs of our patients and families, support our dedicated team and ensure a sustainable future for Valley Children’s.”

This new, multi-faceted community will provide the resources required to sustain and grow Valley Children’s world-class pediatric healthcare network far beyond what the hospital will receive in reimbursement from state/federal programs and commercial insurance payouts. According to a report published by The Advisory Board, 117 acute care hospitals closed across the United States between 2018 and 2023, with many occurring during the pandemic, and just last week, Becker’s Hospital Review reported

19 hospitals and emergency departments have closed nationwide so far this year. In California, rural communities have been particularly hit hard, with several hospitals closing – including Madera Community Hospital – or facing closure.

This trend underscores the importance of initiatives like The Hill, whose revenues will support hospital operations and patient care. This development will also contribute to Madera County’s economy, bringing new spending, tax revenue and additional tourism.

“I believe it is a brilliant idea to enhance revenue at Valley Children’s for those services necessary to take care of kids, and Madera County is excited about the opportunity to help Valley Children’s move forward with this development,” said Madera County Board of Supervisors Chair Rob Poythress. “It is always about the care – that is number one. But it is also about supporting employees and residents in the area.”

The Hill’s residential district will include 400 plus studios, and one-, two- and three-bedroom apartments in a wellness-centric natural environment. The retail district will incorporate more than 30 shops in a village-style environment, including a grocery store, lofts above retail spaces and other retail essentials. The Hill will also feature a series of planned scenic walking paths connected to larger areas and venues for different activities.

“We have spent the last decade creating a solid financial foundation for Valley Children’s, one that’s absolutely vital in an era when so many hospitals in the Valley have had to sell, reduce services or close,” Suntrapak said. “The Hill is a community that supports healthy living, the health of Valley Children’s and the care we provide to kids and the entire community.”

https://www.valleychildrens.org/news/news-story?news=1399

By Faughn Health/Medical • New Developments 0 Comments

New law directs UC to build Kern medical school branch

A new law directs the University of California to set up a new medical school branch in Kern County, thanks to a bill authored by Assemblywoman Dr. Jasmeet Bains, D-Delano.

Assembly Bill 2357, also known as the “Grow Our Own” bill, was signed into law by Gov. Gavin Newsom Sunday, creating a new endowment fund to finance the future school and its operations.

“This is dream that’s been a long time coming for Kern County,” Bains told The Californian. “This is an opportunity for our kids to uplift themselves and truly be the leaders in the medical world that the community needs them to be.”

The law establishes the University of California Kern County Medical Education Endowment Fund within the State Treasury to “support annual operating costs for the development, operation and maintenance of a branch campus of an existing University of California School of Medicine Kern County.”

Money in the fund — which can also accept public and private donations — will be invested with the goal of achieving a sufficient balance to support the school.

A family doctor, Bains said access to medical services in the Central Valley were lacking even before the COVID-19 pandemic, which exacerbated the problem.

“The real reality that we witnessed is our health-care workforce is suffering,” Bains said. “This is the first foundation of the something that would change the landscape.”

In 2021, the California Health Care Foundation reported the San Joaquin Valley had 47 primary care physicians per 100,000 residents, short of the U.S. Department of Health and Human Services’ recommended supply ratio of 60 to 80 per 100,000 and the state average of 60 per 100,000 residents.

While Bains declined to name an amount, she said messages of support and financial commitments started arriving shortly after the bill was introduced.

The fund will also be used to finance a feasibility study for the school, which according to the University of California has an unknown cost but could be in the “low millions.”

“The UC estimates one-time General Fund costs of about $300 million for a new medical education building and ongoing operational General Fund costs of between $40 million and $45 million each year,” a Senate summary of the bill said. “These costs could be lower to the extent that donations or other non-state funds are provided.”

Bains said her next step is raising fundraising; the sooner the endowment is sufficiently funded, the sooner the study can begin.

“This is where the momentum starts,” Bains said.

The bill passed with overwhelming support in both chambers, and one of the few organizations in opposition to the bill was the UC itself, which stated there were already a number of programs aimed at increasing medical access in the San Joaquin Valley.

“Launching a medical school and obtaining accreditation from the Licensing Committee on Medical Education requires a substantial investment of time, financial support, faculty development, and a strong foundation of clinical partnerships to support student rotations,” the UC said in an “oppose unless amended” letter.

The UC did not immediately respond to request for comment, but Bains said the feasibility study was added at the request of the university.

It’s not yet clear where the school will be, when it will open, or which UC it will be affiliated with. There is a regional campus of the UC San Francisco School of Medicine in Fresno, and UC Merced is developing an undergraduate program to serve as a feeder to UCSF-Fresno.

The university also has UC PRIME, or Programs in Medical Education, which supplements standard medical training with additional curriculum tailored to meet the needs of underserved populations. PRIME programs are affiliated with different UCs depending on their locations in the state; the San Joaquin Valley’s program is housed at UCSF-Fresno.

In a statement, Emily Duran, chief executive officer of Kern Health Systems, said the school — which she referred to as “the UC Kern Medical School” — is needed to alleviate the current provider shortage that impacts the overall health outcomes of residents.

“Today marks the first step in creating a UC Medical School in Kern County to empower the next generation of doctors that reflect the demographics of our community,” Duran said. “(The bill) is a step in the right direction to build on the current infrastructure to train, recruit, and retain health professionals to address the medical needs of Kern County.”

Bains said the bill received skepticism from its very beginning but that the law now requires that a medical school branch be built in Kern County once funds are available — and she is determined to see the project done.

“This is the time where people do really believe that this is possible,” Bains said. “This is the time where we get together, roll up our sleeves and believe that this is possible.”

https://www.bakersfield.com/news/new-law-directs-uc-to-build-kern-medical-school-branch/article_73b5cd52-7f69-11ef-a5be-63dab12bb3fa.html

By Faughn Economy 0 Comments

City of Modesto Bond Rating Upgrades: Signals Financial Strength and Stability

 A stable outlook, and a bond rating upgrade, was assigned to the City of Modesto which reflects the City’s commitment to strong financial management principles.  Moody’s is one of the United States big three credit rating agencies (the other two being S&P and Fitch) for municipal government finance that defines credit ratings for the government bonds.

Moody’s recently conducted a bond credit rating review for the Water bonds and the Lease Revenue bonds (funded by the General Fund and Successor Redevelopment Agency) which resulted in the City receiving an upgrade to our current bond ratings. For the Lease Revenue bonds, the City received a bond rating upgrade from A1 to Aa3; the first upgrade since 2018.  For the Water bonds the City received a rating upgrade from an Aa3 to Aa2; this bond rating has not been upgraded since 2008.

The Lease Revenue Bonds upgrade is evaluated based on the financial review of the City’s General Fund which factors in the recent voter approved Measure H 1% local sales tax.  The City’s substantial increase in its reserves both from the General Fund Emergency Reserves and the newly received Measure H fund reserves demonstrates a strong commitment to a healthy financial foundation.  The City was able to show financial stability and economic growth despite rising inflation and ongoing supply chain challenges impacting both the Water Fund and General Fund.

The Water bonds upgrade was based on the results of the strong debt coverage ratio maintained for the Water Fund and healthy fund reserves.  This upgrade will further improve the City’s bond credit rating score with the benefit of obtaining better interest rates for the future financing needs of the City.

This accomplishment was made possible by the dedicated actions of the Mayor and the City Council to improve our financial standing through the years despite many difficult decisions. Prior to the passing of Measure H, this Council was faced with heavy implications of lost revenue and increasing costs.  Their commitment never wavered in ensuring the financial stability of the City for the future. The City of Modesto is now seeing the positive impacts of some difficult decisions that were made and that have paved the way for financial flexibility for years to come.

https://www.modestogov.com/CivicAlerts.aspx?AID=1561

By Faughn Distribution • Economy • Renewable Energy 0 Comments

Port of Stockton gets $110 million grant for zero-emissions operations

The Port of Stockton has been awarded a $110.5 million grant to reduce air pollution in what a local congressman called the largest federal investment in its history. U.S. Rep. Josh Harder (D-Tracy) said the funds will help make Stockton the first small port in the nation with zero-emissions terminal operations.

The grant is intended to be used for electric cargo handling equipment, solar power generation and battery storage and to provide shore power to ships when they tie up at wharfs, the U.S. Environmental Protection Agency said Tuesday. The grant also will go toward training workers in maintaining the new high-tech equipment.

“These funds will significantly decrease freight-related emissions in the Central Valley by transitioning more than 90% of our cargo-handling equipment to zero emissions,” Stockton Port Director Kirk DeJesus said in a statement.

The grant will help burnish the Port of Stockton’s environmental efforts, which sometimes draw the ire of conservationists. In September, for instance, several environmental groups sued the port alleging a planned project to produce hydrogen from fossil methane will create air pollution and greenhouse gases that lead to climate change.

Despite environmental concerns, the Port of Stockton, however, is a regional economic powerhouse. As the fourth busiest port in the state, the complex accounts for more than 10,000 jobs, officials say. Stockton’s grant is among 55 to be distributed at ports around the nation. The investments, totaling nearly $3 billion, were funded under the Biden administration’s Inflation Reduction Act.

Harder said he worked hard to bring the grant to Stockton.

“This means jobs, cutting-edge technology and better air quality for our kids,” said Harder, a Stockton-based Democrat and member of the House Appropriations Committee.

Other California ports receiving grants included Redwood City, Oakland, San Francisco, Oxnard, Los Angeles and San Diego. One goal for the grants is to help reduce pollution at ports that have homes nearby, which is certainly the case in Stockton. Several neighborhoods are situated on the north side of the San Joaquin River across from Rough and Ready Island, home to the Port of Stockton.

“While ports, of course, serve an essential role for moving goods, the costs that they bring in terms of pollution and impacts on overburdened communities must be confronted,” EPA Pacific Southwest Regional Administrator Martha Guzman said in a statement.

Replacing diesel-powered freight equipment with zero-emission technology will “reduce air pollution, improve health outcomes in nearby communities, and advance the campaign to tackle climate change,” Guzman said.

By Faughn New Developments 0 Comments

Warehouse construction begins for first phase of long-awaited Bakersfield Commons project

A Corona-based company has begun construction of a large warehouse project southeast of Rosedale Highway and Coffee Road that is planned to be the first phase of the long-delayed Bakersfield Commons multiuse development.

Grading work is underway and several earth movers are in place for a speculative project that a local broker involved with the project said has attracted preliminary interest from Fortune 500 companies.

“It’s in a submarket with a lot of pent-up demand that hasn’t had any new product, especially class A projects, in the submarket for a long time,” said Senior Vice President Wesley McDonald with ASU Commercial.

Rexco Development is calling the project Bakersfield Central Logistics Park. Signs nearby say it will include a 91,000-square-foot building on the northern portion of a vacant lot south of the Lowe’s Home Improvement store, and a 209,000-square-foot structure to the south.

Online materials describe a distribution and last-mile logistics project with 62 dock-high doors, more than 80 trailer stalls and 340 parking spaces. Located on 20.7 acres at 2152 Coffee Road, it would be made of concrete tilt-up construction with ceilings up to 36 feet high.

The project description says the buildings would measure a single story and that the larger of the two could be divisible into spaces as small as 45,000 square feet.

The plan is to finish the warehouse project by the middle of next year.

City officials did not respond to a request for information about the project’s approval and design.

The property is located directly north of a property owned by Adventist Health. Three years ago the Roseville-based hospital chain announced its intentions to develop a roughly $10 million ambulatory care and medical office building at the site.

Those plans have not been finalized, and on Thursday, Adventist’s Central California Network president, Jason Wells, said the company is probably 18 months away from a decision on how to proceed with the health-care facility.

Bakersfield Commons, proposed to cover 255 acres, has gone through many iterations since the mid-2000s — at one point it was to include a baseball stadium, and later, a Topgolf entertainment center — but a series of deadlines has come and gone.

As of 2021, the plan was to put more than 300 units of multifamily rental housing on the property by the end of 2022. Commercial space was also contemplated, as was 150,000 square feet of retail space including a movie theater, at least one gym, a grocery store and restaurants. They were supposed to have opened early this year.

Strong demand for logistics centers has made industrial property the hottest segment of Kern County’s real estate market. Major retailers including Amazon, Walmart and Target have filled spaces measuring 1 million or more square feet in areas such as Shafter, the Mettler area and Oildale.

Most of those warehouses are located away from busy neighborhoods, making the Rexco project one of few in Kern to be largely surrounded by existing homes, though it won’t be directly adjacent to them.

With the exception of the Adventist property, land for Bakersfield Commons is owned by South Gate-based World Oil Corp., whose president and CFO said in a news release Thursday afternoon that Rexco was a natural choice because of the companies’ shared comment to high quality, state-of-the-art development.

“We’re very pleased to be working in partnership with Rexco Development to deliver this much-needed logistical resource for the Bakersfield region,” Matthew Pakkala stated.

Rexco President Larry Haupert added in the release that his company was thrilled to be working with World Oil on the first development of the Bakersfield Commons site.

“The demand for modern, advanced logistical facilities in the Bakersfield area continues to grow,” he stated.

By Faughn Quality of Life • Workforce 0 Comments

Accelerated workforce programs within SCCCD are preparing students for new careers

Accelerated workforce programs are helping get students trained, certified and prepared for new careers. A new partnership in Fresno County is also making it possible for students to receive training free of charge. Raul Salazar has been practicing welding since he was 14.

He says he learned from his dad, who is skilled but has never been certified.

“He told me, he’s like, ‘The only way you’ll become a better welder than me is once you get certified because before that, you can’t catch up,'” Salazar said.

By Faughn New Developments 0 Comments

Proposed hydrogen fuel facility in Tracy highlighted at Valley Link luncheon

Tracy’s place in the Valley Link rail project was highlighted during a luncheon last week at the Tracy Community Center.

The Sept. 18 event was hosted by the Innovation Tri-Valley Leadership Group and the Tracy Chamber of Commerce, Tracy Earth Project, the Tri-Valley – San Joaquin Valley Regional Rail Authority and the Livermore Amador Valley Transit Authority (LAVTA).

A series of speakers addressed the Valley Link/LAVTA Advancing Hydrogen Electrification and Deployment (AHEAD) project, which will bring a proposed hydrogen fuel production facility to Tracy. That facility is planned for a piece of city-owned land along Schulte Road, a site once known as the “antenna farm,” between the Owens Brockway Glass Container plant and the Prologis International Park of Commerce. That site is already slated as an operations and maintenance facility for Valley Link.

The hydrogen fuel production facility will be a central aspect of the Valley Link project, which is designed to relieve traffic congestion on Interstate 580 and the Altamont Pass, while also serving as the nation’s first rail system to be powered by hydrogen fuel.

“Today there is no clean, reliable, high frequency transit alternative to vehicular congestion on Interstates 205 and 580 for the more than 105,000 Bay Area workers now commuting daily from their homes in communities in the Northern San Joaquin Valley,” said Melissa Hernandez, BART Director and Chair of the Valley Link Board of Directors.

“Valley Link seeks to connect the Northern California megaregion with the first passenger rail system in California running on self-produced, green hydrogen and a hydrogen fuel production facility able to support the clean energy goals of other transit and heavy truck operators.”

Over the course of the 2-hour event speakers discussed the plans for the 42-mile commuter rail system, which could begin construction next year and provide service along the first 22-mile phase between Mountain House and Dublin/Pleasanton by 2027-28.

“Even before Valley Link begins operations, the hydrogen production facility will support clean energy for Livermore Amador Valley Transit Authority and other transit operators within the next 2 to 3 years, providing a near-immediate benefit to the community,” said Katie Marcel, CEO of Innovation Tri-Valley Leadership Group.

Speakers commented that Tracy and other communities on both sides of the Altamont Pass will benefit from job creation and economic growth related to the project.

Kevin Sheridan, Valley Link Executive Director, described the 42-mile alignment of the Valley Link route and its connections with the Altamont Corridor Express and BART’s Dublin/Pleasanton station, including the first 22-mile phase between Mountain House and Dublin/Pleasanton.

He noted that $800 million already available in local and state funding will help leverage federal grants to close the funding gap on the project, expected to total up to $1.9 billion. Also giving the rail authority an advantage in the quest for matching funds are the mandates to seek alternatives to widening freeways.

Sheridan recalled how widening Interstate 205 from four to six lanes in 2007-08 cut commute times by 20 minutes, but after new home construction ramped up again in the San Joaquin Valley about 10 years ago those gains are long forgotten.

“All of a sudden 205 looks exactly like it does at six lanes as when we were working on it at four lanes,” he said. “We can’t widen 205 anymore. It’s just not feasible to do it.”

Sheridan went on to explain that new state rules for widening freeways also call for reduction of greenhouse gas emissions from car exhaust.

“In order to widen a freeway you have to show how you are going to mitigate for greenhouse gases, and the only way to really do that is by having a rail or bus system. In this corridor a rail system makes the most sense.”

Sheridan added that efforts are under way to nail down the costs and funding sources for the hydrogen facility in Tracy.

“It really is a unique opportunity for the region to be first in this area, to be able to produce hydrogen and supply it for the buses and the businesses in trying to achieve zero emission goals for the state.”

Christy Wegener, Executive Director of Livermore Amador Valley Transit Authority (LAVTA), noted that her agency already provides feeder bus service to three ACE stations, two BART stations and will go to three Valley Link stations in the Livermore-Dublin-Pleasanton area.

She explained how the Accelerating Hydrogen Electrification and Deployment (AHEAD) project will be a key component of Valley Link and will support her agency as well. To that end, LAVTA is joining Valley Link in a $70 million grant application to the state’s Transit and Intercity Rail Capital Program (TIRCP), another funding source that prioritizes green energy.

Wegener noted that because of their zero-emission goals, LAVTA and Valley Link are well-positioned to get that grant money to help build the hydrogen production facility in Tracy.

She noted that the state requires transit agencies to be zero-emission by 2040, beginning with every bus purchase in 2029, and the LAVTA board adopted a plan to be zero-emission by 2034, beating the state mandate by six years

“We cannot do that if we do not have more infrastructure, affordable hydrogen and a skilled workforce,” she said.

“The current type of hydrogen is 2½ times the price of diesel, and is not produced anywhere local. Agencies are trucking it in from Reno, Vegas and Irvine, and that adds more GHGs (greenhouse gases) into the environment, which does defeat the purpose of a zero emissions future,” Wegener said.

“Without a local affordable hydrogen supply, our zero emissions future could be limited to a few bus lines, which will not help in accomplishing the state’s aggressive climate goals.”

Other speakers at last week’s event included Momoko Tamaoki, Deputy Director of Planning and Programming at San Joaquin Regional Rail Commission; and Beth McCormick, Employer Engagement Specialist with Las Positas College.

Tamaoki discussed the advancement of the hydrogen rail vehicle deployment on other passenger rail systems connecting the San Joaquin Valley and Bay Area; and McCormick discussed partnerships with Los Positas College and workforce development as transportation agencies make the transition to hydrogen-fueled transportation.

District 13 Assemblymember Carlos Villapudua provided closing comments, noting that Senate Bill 125 provided funding to the San Joaquin Council of Governments to support the transition of public transit fleets in San Joaquin County to zero emission vehicles.

“Our region’s success depends on the collaboration of everyone at every level of government. Thankfully, we have solutions to bring this opportunity to fruition. An investment in the hydrogen facility will lift all boats by improving the lives of our constituents and our environment.”

https://www.ttownmedia.com/tracy_press/proposed-hydrogen-fuel-facility-in-tracy-highlighted-at-valley-link-luncheon/article_f306488e-7c2b-11ef-a8e0-6b07b161e760.html

By Faughn Renewable Energy 0 Comments

Blue Diamond partners with Divert ahead of renewable energy facility opening

Though we may still be months away from the opening of the new 65,000 square-foot Divert Inc. facility that will process unsold food from grocery stores into renewable natural gas, the Massachusetts-based technology company announced last Tuesday that they were entering in a partnership with Blue Diamond Growers.

Blue Diamond — the world’s leading almond company with processing plants in Turlock, Salida and Sacramento creating products like almond flour, almond oil and almond protein powder— will be sending almond processing byproducts to the facility being built at 4407 W. Main St. for it to be transformed into renewable energy.

“We are proud to join forces with a company like Blue Diamond Growers that shares our mission and commitment to sustainability,” said Ryan Begin, CEO and co-founder of Divert. “The organic byproducts from food processing have tremendous value that can be converted into renewable energy to power our communities. With California being the largest food manufacturer in the U.S., there is a real opportunity for the state to adopt the technologies and infrastructure for food processing that will have a positive impact on the climate crisis. We applaud Blue Diamond for being at the forefront of the industry in implementing solutions to better our world.”

The renewable energy created from the byproducts are expected to be used to supply local homes and businesses, as well as soil amendment that allows for the nutrients to return to farmland thereby supporting further food growth.

Prior to the facility’s groundbreaking in April of 2023, Divert came to an interconnection agreement with PG&E. When the project is completed and operational, processed Renewable Natural Gas (RNG) will enter PG&E’s on-site transmission line, replacing fossil fuel gas with a carbon negative renewable fuel.

The process of creating renewable energy starts with unsold food material being liquefied and purified before being processed into a finished clean food slurry. The slurry is then pumped directly into an on-site anaerobic digester, where it is turned into biogas, a mixture of gasses, primarily consisting of methane, carbon dioxide and hydrogen sulfide. The equipment then removes impurities from the biogas and upgrades it into pipeline quality RNG to meet utility company standards.

“Blue Diamond’s long history of furthering the use of almonds and almond byproducts is an important part of our sustainability story and why our almonds have a record of very low waste,” said Dan Sonke, Head of Sustainability at Blue Diamond Growers. “This partnership with Divert is a way to continue our legacy of putting resources to their best and highest value for our farmer-owners and community.”

The facility is expected to be completed sometime during the fourth quarter of this year. There will be roughly 40 employees, including plant managers, technicians and truck drivers.

According to Divert, the United States alone generates more than 100 million tons of food waste annually, with over 50% going to landfills or incinerators. Additionally, food waste contributes 8% to 10% of global greenhouse gas emissions. Financially, American food retailers waste $25 billion in food each year. To combat the issue, state and municipal food waste laws have been increasingly enacted in recent years to preserve landfill capacity and curb greenhouse gas emissions. In California, that comes in the form of Senate Bill 1383.

SB 1383 was signed into law by former governor Jerry Brown in 2016, establishing a statewide effort to reduce emissions of short-lived climate pollutants in various sectors of California’s economy, one of those sectors being the food and retail industry. Beginning in 2022, SB 1383 required every jurisdiction to provide organic waste collection services to all residents and businesses. Additionally, businesses had to begin collecting, sorting and transferring organic waste to a specified composting facility, community composting program or other collection activity or program.

https://www.turlockjournal.com/news/local/blue-diamond-partners-with-divert-ahead-of-renewable-energy-facility-opening/